This CEO Thinks Noncompetes Hurt The Economy | Forbes

This video features an interview with Peter Gassner, founder and CEO of Veeva Systems, a leading cloud software, data, and professional services provider for over a thousand life sciences companies, including major pharmaceutical firms and small biotechs. Gassner discusses two significant aspects of Veeva's corporate philosophy and structure: its pioneering transition to a Public Benefit Corporation (PBC) and its strong stance against non-compete agreements. He explains that as a PBC, Veeva is legally bound to balance the interests of its employees, customers, and shareholders, a departure from the traditional shareholder-maximization model. This approach, he argues, fosters a more durable company, deeper customer trust, and the ability to attract values-aligned talent, ultimately benefiting long-term investors. Gassner also passionately advocates for the elimination of non-compete clauses, viewing them as detrimental to employee freedom and the broader U.S. economy, while distinguishing them from necessary intellectual property protections. He reflects on the evolution of his leadership mindset from short-term startup survival to long-term responsibility and societal impact.

Key Takeaways:

• Veeva's Strategic Vision as a PBC: Veeva Systems, a critical platform in the life sciences industry, operates as a Public Benefit Corporation, legally committing to balance the interests of all stakeholders (employees, customers, shareholders). This signals a long-term, trust-based approach to business, which is vital for partners and clients.ai, this indicates a stable and ethically aligned ecosystem with their primary platform provider.
• Impact of PBC on Customer Relationships: The PBC model allows Veeva to cultivate longer and deeper relationships with its customers, who feel they have an actual seat at the table.ai in their Veeva CRM consulting to emphasize the long-term partnership and trust clients can expect.
• Non-Compete Stance Reflects Employee-Centric Values: Veeva's ban on non-compete agreements highlights a commitment to employee freedom and a belief that such clauses hinder economic growth. * Long-Term Durability and Trust: Gassner emphasizes that the PBC structure contributes to Veeva's durability and efficiency by fostering trust with both customers and employees.ai building solutions on their platform, potentially enhancing client confidence.
• Evolving Leadership for Societal Impact: The CEO's journey from a startup mindset to one focused on generational responsibility and societal impact underscores a mature and values-driven leadership.